Emaar Properties Achieves Record-Breaking Financial Performance in 2024
Emaar Properties PJSC has announced an exceptional financial performance for 2024, achieving total property sales of AED 70 billion, marking a historic milestone for the company. This accomplishment comes amid a thriving UAE real estate market, which has witnessed tremendous expansion over the past year.
The company’s annual revenue surged to AED 35.5 billion, representing a 33% increase compared to the previous year. Meanwhile, net income attributable to shareholders reached AED 13.5 billion, reflecting a 16% rise from 2023. However, the overall profit margin experienced a slight decline from 44% to 38% due to increased operational expenses. Earnings per share climbed to AED 1.53, up from AED 1.32 in the prior year.
Emaar Development, the subsidiary specializing in build-to-sell projects, also reported outstanding growth. The division recorded a revenue of AED 19.1 billion, marking a 61% year-on-year increase. Additionally, the backlog of revenue expanded to AED 90.9 billion as of December 31, 2024, highlighting a solid pipeline for future earnings.
The UAE’s real estate sector continues to flourish, with Dubai’s all-residential property price index witnessing a 19.46% year-on-year surge as of November 2024. This substantial increase is largely driven by an influx of high-net-worth individuals and global investors capitalizing on lucrative opportunities in the region. The total value of property transactions in Dubai exceeded AED 500 billion in 2024, surpassing previous records.
Abu Dhabi’s real estate market has followed a similar growth trajectory, with residential sales experiencing a 25.7% rise in the fourth quarter of 2024. The capital’s office sector also demonstrated resilience, with rental rates in prime commercial areas climbing 3.4% quarterly and 25.9% annually.
Meanwhile, Ras Al Khaimah has emerged as a rapidly growing real estate hub, witnessing a staggering 118% increase in transactions, totaling AED 15.08 billion in 2024. This sharp rise highlights the emirate’s growing appeal to investors and homebuyers, reinforcing its position as an emerging market within the UAE.
One of the primary drivers of this surge in property demand is the growing expatriate community, particularly from the United Kingdom. Dubai now houses over 180,000 British nationals, surpassing the population of Oxford. Many professionals and families are drawn to the city due to its tax-free income, promising career prospects, and high quality of life.
However, this rapid expansion has also brought challenges, such as increasing living costs and intensified traffic congestion. The rise in ultra-high-net-worth residents has placed pressure on the housing market, leading to substantial rental hikes and a higher overall cost of living. Despite these concerns, Dubai remains a highly attractive destination due to its favorable tax policies, stable visa programs, and year-round sunshine.
To address the increasing demand for luxury homes, Dubai is set to deliver nearly 9,000 villas by the end of the year, with an additional 19,700 expected in 2025. By 2040, the city may require between 37,600 and 87,700 new residential units to accommodate a projected population of 5.8 million. While property prices in prime locations like Palm Jumeirah and Emirates Hills have seen significant appreciation, Dubai’s luxury market remains competitively priced compared to international cities such as London and New York.
